Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


NZ dollar tumbles vs. euro after Draghi comments

NZ dollar tumbles vs. euro after Draghi comments, gains on greenback

Jan. 11 (BusinessDesk) – The New Zealand dollar tumbled against the euro after European Central Bank President Mario Draghi said the euro-zone economy should gradually recover later this year and signalled there was no interest at the ECB in cutting interest rates.

The kiwi dollar dropped to 63.68 euro cents from 64.37 cents at 5pm in Wellington yesterday. The local currency gained to 84.46 US cents from 84 cents.

The ECB left its main refinancing rate at a record-low 0.75 percent in a unanimous decision and Draghi said the accommodative policy setting should work its way through the economy, and global demand should strengthen. Helping add to euro-zone sentiment, Spain sold 5.8 billion euros of debt, more than it had targeted. Traders, though, said Europe isn’t out of the woods yet.

“Reality will kick home to Europe,” said Alex Sinton, senior dealer at ANZ New Zealand. “Draghi is talking about things turning positive in late 2013 – I don’t think things will be back that early. The kiwi will be supported.”

The New Zealand dollar may trade in a range of 84.20 US cents to 84.70 cents today and may challenge 85 cents in the near term, though there are “a lot of sellers” at that level, Sinton said.

The kiwi dollar broke through 84 US cents yesterday when Chinese trade data showed exports jumped 14 percent last month. Chinese figures will feature again today with the consumer price index expected to have gained to an annual 2.3 percent in December from 2 percent a month earlier.

The trade-weighted index was at 75.64 from 75.67 yesterday. The kiwi dollar climbed to 74.42 yen from 73.96 yen and rose to 79.71 Australian cents from 79.65 cents.

The local currency fell to 52.25 British pence from 52.42 pence.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Onetai Station: Overseas Investment Office Puts Ceol & Muir On Notice

The Overseas Investment Office (OIO) has issued a formal warning to Ceol & Muir and its owners, Argentinian brothers Rafael and Federico Grozovsky, for failing to provide complete and accurate information when they applied to buy Onetai Station in 2013. More>>

ALSO:

Tomorrow, The UN: Feds President Takes Reins At World Farming Body

Federated Farmers president Dr William Rolleston has been appointed acting president of the World Farmers’ Organisation (WFO) at a meeting in Geneva overnight. More>>

ALSO:

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news